Internal stress originates in: a. The outside coming in, ...

[FButt]

Internal stress originates in:
 
  a. The outside coming in, intruding
  b. One's own mind and body
  c. Acute stress
  d. On-going role playing, not being genuine

Question 2

Stock options perfectly align management incentives with incentives of owners.
 
  Indicate whether the statement is true or false

[adammoses97]

Answer to Question 1

B

Answer to Question 2

F The alignment of incentives is not perfect. Owners usually have large investments committed to the firm, and are concerned about protecting them. Management stock options represent no such commitment, and managers gain only from an increase in stock value that will enable them to sell their options and gain the amount of the stock increase. The management incentive from stock options therefore focuses on increasing stock value, not preserving stock value.

[FButt]

Correct answers!

[adammoses97]

Great! Please up vote